New York has world’s most expensive luxury rental market

People renting luxury accommodation in New York should expect to pay more than tenants renting in any other city, a new report shows.

The latest analysis released by the Savills World Research team shows that luxury rents in New York average £2,300 a week, making it the most expensive prime rental market in the world.

Tokyo is the second most expensive city in the luxury sector, with prime rents averaging £1,940 per week, followed by London (£1,700), Hong Kong (£1,690) and Amsterdam (£1,370).

Rental costs in New York are now 5.4 per cent higher than they were a year ago, the Savills report reveals. A new supply of high-quality prime property was cited as the main driver behind the increased costs.

Of the top five cities, only London has recorded a decline in average rental costs in the prime market over the past year, with costs now 2.9 per cent lower than they were 12-months ago.

Away from the luxury sector, San Francisco – which ranked ninth in prime rental costs – tops the list of the most expensive rent in the overall market, with an average weekly rental cost of £460 per week.

New York City ranked second for the overall rental market, while Los Angeles, which didn’t feature in the top 10 for luxury rentals, came in third.